On Sunday, May 7, 2023, President Andry Rajoelina received a delegation from the International Monetary Fund (IMF) at the State Palace in Iavoloha (« International Monetary Fund ») which was led by Mr. Abebe Aemro Selassié, Director of the department in this group included in the World Bank (Banque mondiale).
One of the main topics discussed in that meeting was the 4th Evaluation Meeting or the « 4th review » of the FEC (“Extended Credit Facility”). It will be considered during this assessment meeting the execution of the public budget or the “Budget Execution” and looking at government embezzlement, especially with regard to the money from the oil companies.
The President brought before these delegations from the IMF the work done by the government and the government in the past 4 years, which strengthened the Government close to the people through the construction of infrastructure aimed at The true development of the Malagasy nation – not for personal gain -, such as schools (a number of rooms 4,000 were established throughout the island); the university; the hospital (13 have been established and 15 health centers will be added) ; the way (RN44, the RN5A, the RN10, the RN9, the RN6)and finally, the main channel (« pipeline ») bring water from Efaho river to Ambovombe etc… These are just examples.
The Director of the IMF praised the Malagasy government for the many works that have been carried out, even though the covid-19 epidemic has paralyzed countless Malagasy sectors for 20 months, between the beginning of the 2020 and the end of 2021.
He also emphasized the need to further strengthen the efforts on the Development of Agriculture. The two sides also discussed the freedom of Madagascar “Trust Fund for Resilience and Sustainability” or FFRD from the IMF. It is mainly intended to finance the reforms that need to be made to make the country more resilient to the effects of climate change or ” Climate change “.
It is known that it is classified as one of the countries that can benefit (“eligible”) because Madagascar already has what is known as an economic model related to climate change.
On May 12, 2013, the Fourth Assessment Meeting will end, which is also the stage for discussions on the FFRD program in the months of October – November 2023.
To return to the FFRD, fThis is a new financing program from the IMF. Its creation was recorded in April 2022 and has been implemented since May 2022. Madagascar is one of the countries that have officially applied to benefit from it. This FFRD aims to provide financial assistance to fragile and medium-sized countries facing long-term structural problems that cause serious economic problems. Issues such as climate change and infectious diseases.
But the main reason why the Malagasy country benefited from this FFRD is: 1. Because it established the CMAP (« Macroeconomic Climate Assessment Program » already (Macroeconomic Climate Assessment Program); 2. Because Madagascar is always in the FEC Program. Finally, FFRD will also provide strategic support, in addition to funding.
Jeannot Ramambazafy – Sary zAndry
